UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D/A
Under the Securities Exchange Act of 1934
(Amendment No. 4) *
Merrimac Industries, Inc.
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(Name of Issuer)
Common Stock, par value $.01 per share
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(Title of Class of Securities)
590262 10 1
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(CUSIP Number)
Richard H. Gilden, Esq.
Kramer Levin Naftalis & Frankel LLP
919 Third Avenue
New York, New York 10022
(212) 715-9100
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(Name, Address and Telephone Number of Person Authorized to
Receive Notices and Communications)
May 17, 2005
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(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition that is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the following
box. |_|
Note: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See Rule 13d-7 for other parties
to whom copies are to be sent.
* The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter
disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
Page 1 of 6 pages
SCHEDULE 13D
CUSIP NO. 590262 10 1
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1. Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only)
Lior Bregman
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2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a) [ ]
(b) [ ]
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3. SEC Use only
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4. Source of funds (See Instructions)
PF
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5. Check if disclosure of Legal Proceedings Is Required Pursuant to
Items 2(d) or 2(e)
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6. Citizenship or Place of Organization
United States
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Number of Shares 7. Sole Voting Power 287,600
Beneficially Owned -----------------------------------------------------
by Each Reporting 8. Shared Voting Power 0
Person With: -----------------------------------------------------
9. Sole Dispositive Power 287,600
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10. Shared Dispositive Power 0
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11 Aggregate Amount Beneficially Owned by Each Reporting Person
287,600
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12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares
(See Instructions)
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13. Percent of Class Represented by Amount in Row (11)
9.2%
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14. Type of Reporting Person (See Instructions)
IN
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Page 2 of 6 pages
The following constitutes Amendment No. 4 ("Amendment No. 4") to the Schedule
13D originally filed by Lior Bregman ("Mr. Bregman") with the Securities and
Exchange Commission (the "SEC") on November 19, 2003. This Amendment No. 4
amends the Schedule 13D as specifically set forth herein.
Item 4 Purpose of Transaction
----------------------
Item 4 is hereby amended and restated to read as follows:
Mr. Bregman has purchased the shares of common stock, par value $.01
per share (the "Common Stock") of Merrimac Industries, Inc. (the "Issuer") for
investment purposes. Mr. Bregman has extensive experience and relationships in
the defense and wireless telecommunications industries and has intended to work
with the management of the Issuer to maximize stockholder value.
On August 18, 2004, Mr. Bregman delivered a letter to Mason N.
Carter, Chairman of the Board, President and Chief Executive Officer of the
Issuer, a copy of which is attached as an exhibit hereto and incorporated herein
by reference (the "Letter"), expressing Mr. Bregman's disappointment with the
Issuer's management and board of directors failure to act in the best interests
of the Issuer's stockholders or to allow Mr. Bregman to use his experience and
industry contacts to assist the Issuer either via a Board membership or a
consulting agreement. Mr. Bregman has proposed that the Board immediately
appoint a special committee of disinterested directors to engage a qualified
investment banker to evaluate the Company's strategic alternatives and seek to
effect a transaction that will maximize shareholder value. Mr. Bregman will
consider, among other matters, forming a group to seek to acquire control of the
Company.
Subsequent to receiving Mr. Bregman's Letter, the Issuer rejected
his proposals. Mr. Bregman was very disappointed by the Board's reaction to his
attempts to enhance shareholder value.
Mr. Bregman continues to believe that the best course of action is
for the Issuer to retain an investment banker to seek a transaction which would
result in a substantial premium to the current market price of the Issuer's
common stock. He believes strategic buyers are available who would be willing to
pay such a substantial premium. If the Board is unwilling to appoint a special
committee and seek a transaction with a strategic partner, because it believes
that there is another plan which would yield a greater return to shareholders,
Mr. Bregman believes he should be asked to join the Board. This would indicate
to shareholders that their interests are being best served and allow the Issuer
to use Mr. Bregman's experience and contacts in the effort to build shareholder
value.
Mr. Bregman continues to hold discussions with potential financial
and strategic partners in evaluating his options to achieve the goals stated in
his Letter and has repeatedly approached the Board to reaffirm his interest.
In the latest correspondence from counsel to the Issuer on June 6,
2005, the Issuer continued to reject Mr. Bregman's efforts to use his financial
experience and industry contacts to assist the Issuer. Mr. Bregman's request to
be nominated to the Board was rejected. In view of the Board's failure to
recognize the substantial investment Mr. Bregman's has made and his interest in
enhancing value to all shareholders, Mr. Bregman again has urged the Board to
retain an investment banking firm to explore a potential sale of the Issuer. Mr.
Bregman believes that the Issuer's lack of
Page 3 of 6 pages
financial resources and critical revenue mass will not be sufficient to produce
the growth needed to attract investors and build shareholder value, and that a
strategic transaction is critically needed. At the same time, the Issuer's
installed customer base and attractive technology makes it an attractive partner
for larger companies expanding into the Issuer's area of concentration. Recent
industry transactions suggest that the Issuer could be sold at a substantial
premium to its current market price. Mr. Bregman believes that the Board is not
acting in the best interest of shareholders in refusing to add him to the Board
and in ignoring strategic alternatives to enhance shareholder value.
Mr. Bregman plans on increasing his stake at the Issuer and will be
asking the Board to exempt him from the adverse provisions of the so called
"investor rights agreement" so he can increase his stake above the 10% level
without punitive consequences. The Board has recently exempted an investor group
that bought shares at a discount to the price Mr. Bregman has been paying in the
open market and Mr. Bregman will be asking for similar treatment.
Mr. Bregman does not have any present plans or proposals which
relate to or would result in any of the actions described in subsections (a)
through (j) of Item 4 of Schedule 13D, except as set forth herein. Depending on
various factors, including, without limitation, the Issuer's financial position
and investment strategy, the price levels of the Common Stock, conditions in the
securities markets and general economic and industry conditions, Mr. Bregman may
in the future take such actions with respect to his investment in the Issuer he
deems appropriate, including, without limitation, purchasing additional shares
of Common Stock, selling some or all of his shares of Common Stock or changing
his intention with respect to any and all matters referred to in Item 4.
Item 5. Interest in Securities of the Issuer
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Paragraphs (a), (b) and (c) of Item 5 are hereby amended as follows:
(a) and (b) As of June 15, 2005, Mr. Bregman beneficially owns
287,600 shares of Common Stock. Mr. Bregman has the sole power to vote and
dispose of all such shares. Such shares constitute approximately 9.2% of the
total number of shares of Common Stock outstanding. The percentage of the
outstanding Common Stock set forth above is based on 3,141,111 shares of Common
Stock reported as outstanding as of May 13, 2005 by the Issuer on its Form 10-Q
for the quarter ended April 2, 2005, filed with the SEC on May 17, 2005.
(c) The following table sets forth the purchase of Common Stock of
the Issuer (totaling 49,600 shares) made by Mr. Bregman from December 6, 2004
through June 13, 2005. All such sales were made in open market transactions on
the American Stock Exchange:
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Number of Average
Date of Shares Price Per
Transaction Purchased Share
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12/06/04 200 $8.95
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12/08/04 2,000 $9.00
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12/13/04 500 $8.99
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12/13/04 2,300 $9.00
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12/14/04 1,000 $8.95
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12/14/04 200 $9.00
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12/14/04 400 $9.09
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12/14/04 200 $9.10
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12/20/04 200 $9.00
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Page 4 of 6 pages
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12/21/04 1,000 $9.00
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12/22/04 1,000 $8.98
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12/27/04 100 $8.90
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12/27/04 300 $9.00
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1/05/05 200 $9.04
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1/05/05 800 $9.13
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1/06/05 1,000 $9.19
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1/06/05 1,000 $9.21
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1/14/05 300 $9.30
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1/14/05 200 $9.40
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1/14/05 200 $9.60
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1/14/05 1,900 $9.50
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2/15/05 1,000 $8.74
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2/15/05 1,000 $8.75
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2/17/05 1,600 $8.85
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2/17/05 400 $8.95
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2/17/05 1,000 $9.04
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2/28/05 300 $9.10
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3/01/05 300 $9.10
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4/19/05 100 $8.90
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4/19/05 200 $9.00
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4/19/05 700 $9.09
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4/20/05 1,000 $8.98
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4/21/05 1,100 $9.00
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4/29/05 200 $8.95
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4/29/05 200 $9.05
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4/29/05 600 $9.10
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5/09/05 100 $8.77
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5/09/05 800 $8.78
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5/09/05 300 $8.84
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5/11/05 1,200 $8.93
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5/12/05 1,000 $9.00
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5/13/05 2,000 $9.00
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5/16/05 200 $9.00
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5/17/05 2,400 $8.80
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5/17/05 600 $8.90
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5/24/05 1,800 $8.99
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6/01/05 1,000 $8.80
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6/06/05 1,000 $8.61
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6/09/05 1,000 $8.72
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6/09/05 500 $8.69
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6/09/05 2,000 $8.70
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6/09/05 5,000 $8.70
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6/10/05 1,500 $8.50
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6/10/05 500 $8.49
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6/13/05 900 $8.69
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6/13/05 1,100 $8.78
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Page 5 of 6 pages
SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
Date: June 15, 2005
/s/ Lior Bregman
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Lior Bregman
Page 6 of 6 pages